Merging Insurance Policies as a Couple

When couples marry, thinking shifts from "me" to "us." Once the knot has been tied and lives intertwined, they must make decisions on everything from finances and housing to education, transportation and insurance.

Examining Insurance Needs

Whereas singles take responsibility only for themselves, couples care for and rely on one another. Because of this interdependence, more than one life is at stake—so it's more important that insurance policies protect assets and provide resources than ever before.

When two people marry, they make adjustments. In merging two homes, two cars and often two careers, separate insurance policies are likely already in place—and those plans may no longer meet changing needs. 

Car Insurance
If one partner has no traffic tickets, drives an older car and is over the age of 25—and the other has a string of moving violations, drives a new convertible and is still in his teens—individual insurance rates are likely not compatible.

But when they get insured together, both under the same policy, couples pay less than they paid for their individual policies combined—and qualify for a discount now that they're married.

Homeowners Insurance
Combining households takes work. But when purchasing homes together, one homeowner's policy protects this joint investment.

While replacement cost coverage ensures they suffer no depreciation in case of loss, endorsements or floaters cover anything of value that's not covered under a normal home insurance plan.

As long as there's enough insurance to repair or replace the home under normal circumstances, they're all set with a joint home insurance policy.

Health Insurance
Though in the recent past the majority of couples purchased health insurance through employers, this option is becoming less and less viable because of rising health care costs. As employers contribute less, employees must contribute more, putting employer-sponsored health care out of reach for many.

As two lives come together and couples depend on one another, it's important to stay in good health. By requesting quotes on a joint policy and comparing health coverage between local insurers, co-pays and deductibles, spouses can find cheap health insurance that improves their quality of life together.

Life Insurance
Couples share responsibility with and for one another. Life insurance ensures that, should one spouse pass, the other would be taken care of.

While a second income may be missing—and loss seems acute—life protection provides the partner left behind options: pay final expenses, relocate, attend college, pay off a mortgage or make other choices that help make life worth living alone. 

Long Term Care Insurance
According to the Insurance Information Institute, statistics show that couples over the age of 65 face a 40 percent risk of entering a nursing home for long term care services. If either partner becomes ill and needs this type of care, this type of insurance coverage can keep couples from losing their homes.

Though young couples shouldn't be in a rush to purchase long term care insurance, terminal illness can occur at any time. Middle age is the best time to buy this insurance, because premiums increase as couples reach their 60s and 70s.

Getting Set for the Future

Since most couples depend on one another for financial support, it often takes two incomes to keep a household running. But by planning for the unexpected early enough, spouses can keep life on track—and plan for a successful future.